News Release

November 16, 2020

FP Corporation
DIC and FPCO Explore Collaboration in the Practical Implementation of a ClosedLoop Recycling System for Polystyrene that Employs Chemical Recycling

Tokyo, Japan—FP Corporation announced that it has begun formally exploring collaboration with
Tokyo-based DIC Corporation (DIC) in the practical implementation of a closed-loop recycling systemfor polystyrene, which is used in plastic containers for food products, among others.

Model of closed-loop recycling system for polystyrene employing chemical recycling

With the aim of achieving the practical implementation of advanced plastic resource recycling, DIC isparticipating in a project to develop materials recycling processes for waste plastics that involves
collaboration among industry, government and academia, as well as promoting its own research in
the area of materials recycling. The Company is also conducting basic research regarding theinfluence of polystyrene, films, inks, adhesives and other materials used in food packaging on therecyclability of plastics in an effort to develop materials that exert less of an impact on the environment.
FPCO actively promotes what it calls “FPCO-method circular recycling,” which involves the collection
and transformation of post-consumer foamed polystyrene food containers into new food containers
using materials recycling. Currently, the company uses materials recycling to pulverize and melt usedwhite foamed polystyrene food containers into polystyrene pellets. While white polystyrene containers
are recycled into environment-friendly food containers (“Eco Trays”), the colored and/or patterned
foamed polystyrene containers are recycled into raw materials for clothes hangers and otherhousehold items. (For more information on FPCO-method circular recycling, please seehttps://www.fpco.jp/en/en_esg/en_environmenteffort/en_fpco_recycle.html.)

FPCO-method circular recycling

The properties of polystyrene mean that it can be easily converted back into its precursor, styrene
monomer, using controlled thermal degradation, which makes it particularly suitable for the planned
new recycling system. Because polystyrene made with chemically recycled styrene monomer delivers
the same performance and safety levels as that made with petroleum-derived virgin raw material,
there are no limits to potential applications.
With a view to establishing a collaborative relationship that includes the creation of a chemical
recycling joint venture, DIC and FPCO also plan to introduce third-party technologies for converting
polystyrene back into styrene monomer to facilitate the recycling of colored and/or patterned foamed
polystyrene containers, which to date could not be transformed into new food containers, with theobjective of achieving a closed-loop recycling system for all types of polystyrene products.
Consideration is currently being given to the construction of a demonstration testing facility at DIC’s
Yokkaichi Plant.
The new closed-loop recycling system, which employs chemical recycling, will make use of FPCOmethod circular recycling. In addition, the application of this method will be expanded to allow thecollection of used food containers via a network of 9,600 collection centers. Styrene monomer
recycled by the DICFPCO joint venture from the colored and/or patterned containers will betransformed into polystyrene material by DIC, which will be used by FPCO to manufacture new foodcontainers.
DIC and FPCO look forward to realizing this new system by leveraging diverse recycling technologies,
as well as to contribute to the effective utilization of post-consumer plastics and the reduction of CO 2emissions over the life cycle of foamed polystyrene food containers.
– Ends –DIC Corporation is one of the world’s leading fine chemicals companies, with top shares of the global printing
inks, organic pigments and polyphenylene sulfide (PPS) compounds markets. Established in 1908 as amanufacturer of printing inks, DIC has capitalized on its capabilities in organic pigments and synthetic resins tobuild a broad portfolio of products for diverse industries, including automobiles, electronics, food and housing.
DIC is also the core of the DIC Group, a multinational organization with operations in more than 60 countries
and territories worldwide.

Company name:

DIC Corporation

Representative:

Kaoru Ino, President and CEOHeadquarters:

DIC Building, 7-20, Nihonbashi 3-chome, Chuo-ku, Tokyo 103-8233, Japan

Date of establishment:

February 1908

Website:http://www.dic-global.com/en/

About FP Corporation
FP Corporation（FPCO is Japan’s leading manufacturer of food containers used for items sold at supermarkets,convenience stores and other retailers. Since its establishment, the company has dedicated itself to developing
and providing products that respond to the needs of its customers. FPCO also endeavors to contribute to therealization of a sustainable society by promoting its proprietary FPCO-method “tray-to-tray” and “bottle-to-tray”
recycling, which contributes to the reduction of waste and CO 2 emissions, as well as by developing resourceefficient containers with a reduced environmental impact.

Company name:FP Corporation

Representative:

Morimasa Sato, President

Headquarters:

13-15 Akebonocho, 1-chome, Fukuyama, Hiroshima 721-8607, Japan

Date of establishment:

July 1962

Website:http://www.fpco.jp/en.html